The companys variable cost per unit is 60 for direct

Assignment Help Accounting Basics

Reference no: EM13600526

Bill's Cabinets sells a product for $360 per unit. The company's variable cost per unit is $60 for direct material, $50 per unit for direct labor, and $34 per unit for overhead. Annual fixed production overhead is $74,800, and fixed selling and administrative overhead is $50,480.

Assume a tax rate for the company of 30 percent.

a. If Bill's Cabinets wants to earn an after-tax profit of $135,800, how many units must the company sell? Round your answer to the nearest whole unit.

b. If Bill's Cabinets wants to earn an after-tax profit of $5.60 on each unit sold, how many units must the company sell? Round interim calculations to two decimal places. Round your final answer up to the next whole number.

Reference no: EM13600526

Questions Cloud

Larry monroe owns an apartment building in chicago because : larry monroe owns an apartment building in chicago . because of his age larry is thinking of leaving those chicago

Karling furniture recently raised the selling price of its : karling furniture recently raised the selling price of its colonial desk from 495 to 529. as a consequence unit sales

Az best incs corporate charter allows it to issue 1500000 : az best inc.s corporate charter allows it to issue 1500000 shares of common stock. in 2011 its first year of business

Assume that on january 4 2013 johnstone learns that ralph : 1. an income statement shows income before income taxes and extraordinary items in the amount of 2740000. the income

The companys variable cost per unit is 60 for direct : bills cabinets sells a product for 360 per unit. the companys variable cost per unit is 60 for direct material 50 per

Sid simon wants to cash in on the increased demand for : sid simon wants to cash in on the increased demand for ethanol. accordingly he purchased a corn farm in iowa. simon

If ronnie rice the companys ceo wants the business to earn : racine tire co. manufactures tires for all-terrain vehicles. the tires sell for 60 and variable cost per tire is 30

Team shirts had a return on equity of 23 average : team shirts had a return on equity of 23. average shareholders equity for the corporation was 123000. there were 45000

Laramie distribution markets cds of numerous performing : laramie distribution markets cds of numerous performing artists. at the beginning of march laramie had in beginning

User Account

All Pages